Tomato glut brings down wholesale rate to Rs 3 per kg

Pune: In an eight-month low, the tomato prices in November have fallen to Rs3 to Rs6 per kilogram in the wholesale market. The prices are also significantly lower than the wholesale rates prevalent during the same time last year — tomatoes were being sold for between Rs12 and Rs35 per kg in November 2017.

The retail price for this kitchen staple, however, is still steady at Rs20 per kg.


In July this year, the price per kg of tomato in the wholesale market was between Rs5 and Rs 14. And the rates have been going south since then. They are now less than half of what they were in October and November 2017, the data available with the Pune Agriculture Produce Marketing Committee (APMC) revealed.

The tomato production this year was very good, despite drought-like conditions in parts of the state. APMC officials said the prices have dropped because the tomato supply to the wholesale market has increased.

“Last year, the prices were high during this period. Anticipating similar prices this year, the farmers cultivated more tomatoes in 2018 as well,” said Vilas Bhujbal, the president of the Shri Chhatrapati Shivaji Market Yard Traders’ and Agents’ Association. “The farmers in one area grew more tomato crops without realising that their counterparts in other places too were planning on growing more tomatoes. This led to a glut in the market and the prices fell,” Bhujbal added.

“The government should have a mechanism in place to avoid similar situations. The government should conduct studies using satellite imageries — to gauge the extent of agricultural land where a particular crop has been sown. Even the farmers can benefit from such knowledge. If too much of one particular crop has been sown in a season by some farmers, others can limit its cultivation by sowing other crops,” he said.

Sanjay Pawar, a farmer from Nashik, said tomato production has been bountiful in many locations this time. Apart from Nashik in Maharashtra, even places in Rajasthan and Gujarat have reported bountiful tomato crops. “If production is high in Rajasthan and Gujarat as well, then there is always a possibility that tomatoes from Maharashtra will not be exported to those states as they too are experiencing a glut. Also, exports of vegetables to Pakistan have either stopped or slowed down,” he said.

Shriram Gadhave, the president of the Vegetables Growers’ Association of India, however, said that excess production of tomatoes in the current period is from regions where the water table has still not dipped considerably, despite the drought declared earlier.

While tomato wholesale prices have come down, retail prices have stayed put at around Rs20 per kg. Yakub Pathan, owner of the Fresh Vegetable Market in Wakad, said, “Wholesale tomato prices have come down to Rs3 to Rs6 per kg, but retailers are maintaining a status quo on the prices. Even if prices in the wholesale market increase to Rs10-Rs12 per kg, we will continue to sell tomatoes at Rs20.”